The New York State Common Retirement Fund’s (Fund) estimated return in the first quarter of the State Fiscal Year (SFY) 2022-23 was -8.24% for the three-month period ending June 30, 2022, according to New York State Comptroller Thomas P. DiNapoli. The Fund ended the quarter with an estimated value of $246.3 billion.
“The first three months of the fiscal year brought upheaval to the financial markets amid Russia’s invasion of Ukraine, rising inflation and supply chain issues that continue to effect the economy,” DiNapoli said. “The Fund’s prudent management and diverse holdings have helped make it one of the best-funded public pension funds in the nation and it remains well-positioned to weather the up and downs of the markets. Retirees’ and members’ benefits remain secure.”
The Fund's estimated value reflects benefits of $3.69 billion paid out to retirees and beneficiaries during the quarter. Its audited value as of fiscal year end March 31, 2022 was $272.1 billion and the annual return was 9.51%.
As of June 30, 2022, the Fund had 44.7% of its assets invested in publicly traded equities. The remaining Fund assets by allocation are invested in cash, bonds, and mortgages (22.4%), private equity (15%), real estate and real assets (12.1%) and credit, absolute return strategies and opportunistic alternatives (5.8%).
The Fund’s long-term expected rate of return is 5.9%. The Fund’s annual valuation date is tied to the state fiscal year.
Every three years the Fund is required to undergo an independent Fiduciary and Conflict of Interest Review. The review, most recently performed by Kroll LLC, found the Fund “continues to be a leader amongst its peers for management and operational transparency.”
DiNapoli initiated quarterly investment performance reporting in 2009 as part of his ongoing efforts to increase accountability and transparency. Quarterly rates of return provide a snapshot of performance over three months and reflect a fraction of the Fund’s annual investment return.
About the New York State Common Retirement Fund
The New York State Common Retirement Fund is one of the largest public pension funds in the United States. The Fund holds and invests the assets of the New York State and Local Retirement System on behalf of more than one million state and local government employees and retirees and their beneficiaries. It has consistently been ranked as one of the best managed and best funded plans in the nation.